Has the fallout from the Pannun incident really been capped?

Not really, as the turn of events looks like becoming a millstone around the govt's neck as the powerful Senate Foreign Relations Committee holds a hearing on it

The indictment by US agencies of Indian criminal Nikhil Gupta for plotting the murder of Sikh separatist Gurpatwant Singh Pannun on behalf of an Indian government agent may cause the unravelling of a macho narrative being prepared for the general election of 2024. The unfortunate events may have emerged from the virile foreign policy the BJP government wants to forge for a "new India". 

With the indictment of Gupta, the US now has a leash on the government. How and when it releases more embarrassing information on India's involvement depends on what it wants from the present government.